Crypto Bitcoin @ 5k AUD

I remember mining back in the day before Mt.Gox **** itself. Back then I thought $100 was a lot, well it was because I was only a teen... lacked perspective.

 

Nope. Over the weekend I tried to buy but unsuccessfully. Probably too many people were buying up.

 

I bought some coins using coinjar. Just realised that you cannot sell as Australia is not supported for sales. How do you cash out if need be?

 

I use coles automatic checkouts. Once every 6 months or so I go in with a very heavy pocket

 

I purchased bitcoin in 2013 during that 2 month wave, I bought in at about $700/coin. Sold half a coin when it hit $1000/coin and purchased lite coin. I haven't checked my wallet in years, at a guess I've got half a bit coin and a 250 lite coins.

 

er...you might wanna check that. I think you're in for a nice surprise...

 

Bitcoin's Price Crosses $3000 for the First Time

Tulip Mania!!!

Looks like this will be the cause of the next GFC for sure.

 

Anyone though of, or looked up and found, a strategy for how to sell down profits if you buy a bubble stock that you expect to crash to zero?

Say you bought in at $1 per share and had no clue if it would top at $6 or $100,000 before crashing to zero. Anyone got any strategies?

If someone bought bitcoin at $1 and though "wow 1000% profit, I'm going to sell!" they would have missed out on 300,000% profit which is a sickening loss of opportunity.

But if someone bought davnet (a stock in during the IT bubble around 200-ish) and waited for it to get to 10,000% profit (100x), they would have lost it all because it topped at 60x and then crashed to zero.

Anyone ever thought about this and come up with some sort of algorithm to maximise profit on sell down in a bubble stock?

 

Might be a bit late when everyone hits the front door at the same time,no algorithm even with artificial intelligence can stop a black swan when its already landed..

 

Not talking about bitcoin. It is a more general thought.
Say it was 1999 and tech stocks are going nuts and you expect them to continue for a bit and then collapse to zero. They could rise to 10x their current value and then collapse or could continue rising to 1000x. The question is - is there a strategy that could take advantage of this situation in a way that can provide a decent benefit if it rises to 10x while not missing out on a good benefit of the possibility of it rising to 100x and 1000x?

 

From what i,m watching from where i am as they tell a different outlook in the Euro Zones--- the power of 10 can work both ways i would not like to have bought into any 1000usdollar tech stocks over the past week..imho..

 

How about hypothetically splitting your bet into 2 equal portions, when bet gets to x times return sell 1 portion while retaining other portion to run as far as it can (or fall to zero)

 

Yeah I thought about that also - that would basically be selling down half your shares while keeping the other half.

Of a little more detailed version:
- trying to mitigate risk by getting your money back by selling 25% when it doubles and 12.5% when it doubles again, then you have recouped any losses if it drops to zero too quickly
- beyond that with your 37.5% remaining, take out 10% of remaining shares every time it doubles. this way you still get profit if it rises to 100,000x or more because you always have some remaining shares, but you also get some profit if it goes up to only 10x or 50x.

Not sure what would be optimal though. If you take out 20% instead of 10%, you make more money if it peaks lower like 10x or 50x, but massively less money if it does like bitcoin and is now 2000x, but if you make it 5% instead of 10% then you make less money if it goes to 10x or 50x, but make much more profit if it goes up to 2000x or more.

Eh I guess this is more for maths geeks than PC people. Was just wondering if anyone had thought or researched this since this is a money/investment forum.

 

Trailing stop loss can work if you give it a wide enough berth.

 

And just like that, it hit 5k.... Unbelievable

 

Bumpy ride. Hang on or jump off if you get queasy.

 

Holding.

 

"It's a myth that tulipmania devastated the Dutch economy. How could it, when so few people traded tulips? Even those who did survived the crash. Tulips were merely a sideline to their real professions. In any case, Goldgar explains, few buyers actually paid the exorbitant prices they had agreed. The crucial point is that this was a futures market. The flowers spent most of the year underground. Trades were made constantly, but were only paid for in summer when the bulbs were dug up. In the summer after the crash, most buyers simply refused to accept and pay for their bulbs. Some paid the sellers a small recompense, usually less than 5 per cent of the agreed price. These modest payouts don't seem to have ruined anyone. Rather, tulipmania damaged the code of honour that underlay Dutch capitalism. When buyers reneged, trust suffered. Tulipmania was a social crisis, not a financial one, argues Goldgar."​

How much of the legend of the 17th-Century tulipmania is true?

 

If anyone could do that, they would be so rich and they would keep it to themselves.

 

'We're getting between one hundred and two hundred new users everyday': Aussie money boosts Bitcoin's $7000 surge

Someone's having a win.